Nirav Modi’s company in the US, A. Jaffe, will be acquired by Paramount Jewels, an affiliate of Paramount Gems and Parag Diamonds Inc. for $5.2 million. The deal is pending the approval of the US Bankruptcy Court in New York City, according to IDEX Online.
The deal to buy A. Jaffe “includes all of A. Jaffe’s main assets, including name, IP, design patents, accounts receivable and inventory”. No A. Jaffe employees will be fired, including the current CEO and chairman, and the company will operate as its own entity within Paramount Jewels.
Nirav Modi’s company filed for bankruptcy in February, along with two other American jewelry companies affiliated to Modi – Firestar Diamond Inc. and Fantasy Inc. Indian Jeweller Nirav Modi is still wanted in his country in connection with a $2 billion bank fraud that he allegedly perpetrated with his his uncle Mehul Choksi. Modi, along with other businessmen including Choksi, owner of Indian jewelry retail giant Gitanjali Gems, is suspected of colluding with employees of the Punjab National Bank out of approximately $2 billion.
